Why Buying or Selling a Home Helps the Economy and Your Community

Why Buying or Selling a Home Helps the Economy and Your Community

When considering buying or selling a house, it's crucial to understand that it impacts not only your personal life but also your local community.

Every year, the National Association of Realtors (NAR) publishes a report to demonstrate the economic activity generated by home sales. The following chart provides a visual representation of this impact.

According to the displayed graphics, the sale of a house can significantly affect the local economy due to the workforce involved in building, renovating, buying, and selling properties. Robert Dietz, the Chief Economist at the National Association of Home Builders (NAHB), elaborates on how the housing industry contributes to job creation in a community.

“The economic impact means housing is a significant job creator. In fact, for every single-family home built, enough economic activity is generated to sustain three full-time jobs for a year, per NAHB research. . . . And one job for every $100,000 in remodeling spending.” 

Housing being a major job creator makes sense when you consider there are many different industries involved in the process. A recent article from Fortune notes housing activity could have a more robust impact than you think due to the many ways it’s tied to the economy:

“Housing has three direct linkages to economic activity (GDP): the construction of new homes, the remodeling of existing homes, and that of housing transactions. . . . consider the activity associated with home sales – think broker fees, lawyers, etc. – which are a sizable contributor to housing’s GDP footprint.” 

When purchasing or selling a home, it involves collaborating with a group of experts such as contractors, specialists, attorneys, and government officials. Every member of the team contributes to the successful completion of the transaction.

When making a decision in the housing market, it's important to remember that your actions have a ripple effect on the community. By considering the impact of your choices, you can feel empowered to make a positive difference while also meeting your own needs. Keep this in mind as you navigate the market this year.

Bottom Line

Connecting with us for your home sale is not only beneficial for you, but also for the local economy. Your decision to move can have a positive impact on the entire community. Let's get started!